BANCROFT 
LIBRARY 


BANCROFT 
LIBRARY 


THE  LIBRARY 

OF 

THE  UNIVERSITY 
OF  CALIFORNIA 


PROSPECTUS 


OF   THE 


NEVADA  SILVER  MINING  COMPANY 


CHURCHILL    COUNTY, 


ORGANIZED  UNDER  A  SPECIAL  CHARTER  FROM  THE  STATE  OF 
PENNSYLVANIA. 


PHILADELPHIA: 

J.  B.  CHANDLER,  PRINTER,  306  &  308  CHESTNUT  STREET,  (GIRARD  BUILDING.) 

1865. 


PROSPECTUS 


OP   THE 


NEVADA  SILVER  MINING  COMPANY, 

' 


CHURCHILL    COUNTY, 


ORGANIZED  UNDER  A  SPECIAL  CHARTER  FROM  THE  STATE  OF 
PENNSYLVANIA. 


PHILADELPHIA: 

J.  B.  CHANDLER,  PRINTER,  306  &  308  CHESTNUT  STREET,  (GIRARD  BUILDING.) 

1865. 


MOUNTAIN  WELLS  DISTRICT,  (HUM  HILL  CO,,  NEVADA, 

ORGANIZED    UNDER   A    SPECIAL  CHARTER  FROM  THE  STATE  Oi1  PENN- 
SYLVANIA. 


Capital,     -     -     -     -     $  300,000 


SO  0,0  CO 


PRESIDENT,  JAMES  ROSS  SNOWDEN. 

SECRETARY  &  TREASURER,  GEO.  W,  BROWN* 

Office  of  the  Company,  323  Walnut  Street,  Philadelphia,  Pa. 

BOARD  OF  DIRECTORS, 

GEO.  L.  OLIVER,  JAMES  ROSS  SNOWDEN, 

A.  H.  DENCKLA,  A.  R.  POTTS, 

H.  R.  LTNDERMAN. 

SUPERINTENDENT  AT  THE  MINE,        GEO.  F.  GEISSE. 

STOCK  NOT  ASSESSABLE. 

BANKERS,     -    -    -    E.  W.  CLARK  &  CO.,   Third  Street.    . 
COUNSEL,     -    FURMAN  SHEPPARD,  No.  419  Walnut  Street. 
GENERAL  AGENTS  FOR  SALE  OF  SHARES, 

BROWN  &  DEVEREAUX.  -  323  Walnut  Street,  Philadelphia. 

t 


CHUKCHILL  COUNTY,  NEVADA. 


The  Nevada  Silver  Mining  Company  is  organized  under  a  special 
Charter — granted  by  the  State  of  Pennsylvania,  at  its  last  winter  session. 
The  object  is  the  development  of  certain  veins  of  argentiferous  min- 
erals, located  in  Churchill  County,  Nevada,  in  what  is  known  as  the 
Mountain  Wells  District.  The  value  of  these  veins  has  been  carefully 
examined  and  inquired  into — a  geologist  having  been  sent  from  this 
city  for  that  specific  purpose.  From  his  report,  which  is  herewith  ap- 
pended, it  will  be  seen  that  the  claims  have  been  wisely  selected  and 
offer  every  inducement  as  a  basis  for  mining  operations. 

At  the  time  of  the  examination  of  the  property  it  was  the  intention 
of  those  interested  to  style  the  Company,  the  "  Grey  Eagle  Silver 
Mining,"  but  further  inquiry  developing  the  fact  that  the  name  had 
been  appropriated,  it  was  deemed  advisable  to  change  the  same,  which 
was  accordingly  done,  and  which  will  account  for  the  use  of  the  origi- 
nal title  in  the  report  of  the  examination. 

An  attentive  perusal  of  the  accompanying  report  and  certificate  of 
assay  of  rock  from  the  "  Grey  Eagle  lode,"  is  respectfully  invited. 

The  Company  have  commenced  a  vigorous  development  of  their 
property,  under  the  management  of  thoroughly  competent  and  practi- 
cal mining  men,  and  they  expect,  before  many  months,  to  secure  such 
results  from  their  operations  as  will  convince  all  of  the  undoubted  rich- 
ness and  value  of  the  lodes  owned  by  the  Nevada  Silver  Mining  Com- 
pany. 


Messrs.  Brown  &  Devereaux,  No.  323  Walnut  Street,  are  the  Gene- 
ral Agents  for  the  sale  of  the  Shares  of  the  Company,  where  all  infor- 
mation, etc.,  will  be  furnished. 

The  following,  extracted  from  the  report  of  Professor  C.  P.  Williams, 
will  make  evident  that  the  value  of  the  four  ledges  are  established  be- 
yond question.  With  regard  to  the  other  five  veins  it  may  be  well  to 
state,  that  the  tenor  of  Prof.  Williams'  report,  is  to  the  effect  that 
while  their  value  is  not  established,  they  are  well  worthy  of  examination, 
and  that  by  their  exploration,  additional  mining  ground  may  be  given 
as  a  field  of  labor  for  the  Company. 


Laboratory,  No.  138  Walnut  Street,  | 

Philadelphia,  April  15th,  1865.      j 

TO  THE  COM.  "GREY  EAGLE  MINING  COMPANY." 
GENTLEMEN  : 

In  compliance  with  your  instructions,  I  have  visited  the  property  of  the 
GREY  EAGLE  SILVER  MINING  COMPANY,  and  have  the  honor  herewith  to  trans- 
mit the  final  report  of  my  examination  of  the  same.  In  order  that  comparisons 
may  be  made  between  the  district  in  which  your  property  is  located  and  other, 
older  and  better  developed  districts,  these  latter  were  also  visited  and  studied, 
and  it,  is  hoped  the  result  of  such  research  may  prove  as  useful  as  a  guide  to 
your  future  operations,  as  it  has  been  to  me  in  the  formation  of  an  opinion  of 
the  value  of  the  Grey  Eagle  claims. 

Very  respectfully,  yours, 

CHARLES  P.  WILLIAMS, 

Chemist  and  Mining  Geologist. 


REPORT. 


The  claims  of  the  Grey  Eagle  Company  are  located  in  the 
Mountain  Wells  District,  Churchill  Co.,  Nevada,  about  eighty 
miles  east-north-east  of  Virginia  City,  and  on  the  line  of  the 
Overland  Mail  Stage  Company,  by  the  coaches  of  which  they 
are  approached  and  reached  after  twenty  hours  travel.  The 
country  traversed  in  the  journey  from  Virginia  to  Mountain 
Wells  has  the  general  character  of  a  desert,  seldom  visited  by 
rain  and  devoid  of  vegetation,  save  a  stunted  growth  of  aromatic 
shrubs,  locally  called  "sage  brush."  On  these  plains  deposits 
of  common  salt  are  not  of  unfrequent  occurrence,  furnishing  an 
indispensable  adjunct  in  the  development  of  the  mines  of  the 
various  regions,  by  supplying  an  important  agent  in  the  metal- 
lurgical treatment  of  silver  ores. 

The  Mountain  Wells  District  is  a  new  and  undeveloped  one, 
its  discovery  not  dating  back  more  than  one  year.  As  in  the 
history  of  all  other  new  mining  districts  of  the  Pacific  Coast, 
the  pioneers  were  men  possessed  of  but  little  capital,  no  work 
more  than  that  of  exploration  has  been  done  on  the  several 
veins  already  discoveied  in  the  district,  but  in  many  cases  their 
bold  outcropping  edges,  in  connection  with  the  trial  shafts  and 
exploring  trenches  and  pits,  furnish  data  sufficiently  exact  to 
permit  of  the  formation  of  an  opinion  with  regard  to  the  induce- 
ments they  offer  for  beginning  mining  operations  on  them.  It 
will  be  seen  below  that  my  opinions  on  most  of  your  veins  are 
expressed  with  a  strong  degree  of  positiveness,  the  result  of  the 
natural  facilities  furnished  by  the  district  for  the  examination  of 
its  veins  and  of  comparisons  of  the  phenomena  there  noted  with 
those  of  the  mineral  deposits  of  the  Virginia,  Reese  River  and 
Humboldt  Districts. 

The  rocks  of  the  region  are  highly  metamorphosed,  silicious. 


8 

argillaceous  and  calcareous  sediments,  (such  as  quartzites,  clay 
slates  or  argillites,  gneiss  and  blue  argillaceous  limestones,)  with 
intrusions  of  granite,  porphyry  and  trap,  the  formation  being 
grouped  into  a  series  of  parallel  hills,  and  having  a  general 
trend  of  nearly  N.  N.  E.  and  S.  S.  W.  (magnetic.) 

These  rocks  are  broken  by  two  series  of  fractures  which  have 
become  the  receptacles  of  silver  and  copper  bearing  minerals, 
giving  rise  to  two  distinct  systems  of  true  fissure  veins,  the 
oldest  of  which  has  a  general  N.  W.  and  S.  E.  bearing,  and  the 
more  recent  striking  1ST.  E.  and  S.  W.,  intersecting  the  first 
system  and  producing  the  phenomena  usually  observable  in  such 
cases. 

In  the  members  of  both  series  the  vein  matter  is  a  quartz  with 
some  manganese  spar,  through  which  there  are  distributed,  some- 
times in  irregular  masses,  but  more  frequently  in  combs,  various 
argentiferous  minerals,  such  as  polybasite,  (containing  when  pure 
65  per  cent,  silver) ;  silver  fahlerz,  (containing  from  17  to  30 
per  cent,  silver,  and  from  J4  to  25  per  cent,  copper,  besides 
sulphur,  antimony  and  iron,  and  sometimes  zinc  and  lead) ;  and 
sternbergite  (with  30  to  33  per  cent,  silver). 

From  the  surface  for  some  distance,  these  ores  have  become 
metamorphosed  through  aqueous  agencies,  and  the  various  metals 
have  entered  into  new  forms  of  .chemical  combination.  In  this 
superficial  zone  of  decomposition  the  copper  usually  occurs  as  the 
green  and  blue  carbonates,  (which  impart  those  tints  to  the  white 
quartzose  vein-stone) ;  the  iron  exists  in  a  hydrated  sesquioxide 
(gossan),  whilst  most  of  the  silver  occurs  as  a  chloride.  In  the 
Mountain  Wells  District  I  had,  of  course,  no  opportunity  of 
ascertaining  the  extent  in  depth  of  this  zone  of  decomposed 
mineral,  but  in  the  Reese  River  District,  where  mining  has  been 
longer  prosecuted,  and  where  the  phenomena  of  the  veins  are 
strikingly  analagous  to,  if  not  absolutely  identically  with  those 
of  the  lodes  of  the  district  under  consideration,  I  found  it  to 
extend  downward  about  ninety  feet,  measured  on  the  inclination 
of  the  vein,  whilst  below  this  the  unaffected  ores  (always  sulphides) 


9 

occur.  In  the  Humboldt  District  the  secondary  products  occur 
to  a  somewhat  greater  depth. 

In  most  instances  the  veins  have  well  defined  walls,  often 
striated  and  polished,  and  separated  from  the  vein  matter  by 
clayey  selvages  or  flucans.  Where  the  wall  rock  is  feldspathic 
in  its  composition  (as  in  the  granite  and  gneiss,)  they  are  soft 
and  much  decomposed  in  the  vicinity  of  the  veins,  greatly  facili- 
tating the  exploitation  of  the  deposits. 

With  regard  to  the  vein  specially,  I  copy  from  my  field  notes, 
premising,  however,  that  the  specimens  collected  and  accom- 
panying this  report,  were  taken  with  a  view  of  representing  the 
average  of  the  veins  in  sight,  as  in  the  exploring  trenches  and 
at  various  points  along  their  out-cropping  edges. 

GRAY  AND  GEISSE  VEIN. 

Course  N.  15°  W — S.  15°  E.;  dip  north-easterly  80°;  width 
ranging  between  eighteen  and  thirty  inches ;  ore  intimately 
mixed  with  vein-stone;  walls  consist  of  a  soft  and  somewhat 
decomposed  quartzose  granite,  and  are  well  defined,  especially 
the  foot-wall,  which  is  separated  from  the  vein  matter  by  a  thin 
selvage  of  white  clay. 

Intersecting  this  vein  near  the  S.  E,  end  of  the  800  feet  be- 
longing to  the  "Gray  Eagle  Company,"  are  three  remarkably 
well  defined  but  small  veins,  which,  like  the  "Gray  and  Geisse" 
itself,  are  unmistakably  fissure  veins  with  a  N.  E. — S.  W.  course, 
which  are  posterior  in  formation  to  the  main  vein,  and  which 
show  at  their  outcrops  some  mineral.  N.  E.  on  their  course 
they  have  been  prospected  with  a  very  good  show  of  ore. 

According  to  the  Mining  Laws  of  the  District,  a  claim  includes 
a  width  of  200  feet  on  each  side  of  the  vein  or  "ledge."  Your 
Company  will  own  400  feet  on  each  side  of  these  cross-veins, 
which  will  make  with  the  main  veins  2000  feet,  which  can  be 
advantageously  worked  by  means  of  a  tunnel  on  the  "Gray  and 
Geisse,"  which  will  debouche  but  a  few  feet,  (not  more  than 
thirty  feet)  from  a  broad  canon  or  gulch,  with  a  most  excellent 


10 

natural  road  bed.     The  maximum  back  on  this  adit  will  be  about 
200  feet. 

The  character  and  distribution  of  the  "Gray  and  Geisse" 
makes  me  class  it  as  "positively  good,"  believing  it  can  be  very 
profitably  mined.  An  assay  of  the  sampled  ore  gave  .96  per 
cent,  silver,  or  at  the  rate  of  280  oz.  per  ton  of  2000  pounds. 
Value  of  the  same,  $376. 

"DENCKLA"   VEIN. 

Course  E.  S.  E.,  and  W.  N.  W.;  dip  S.  W.  70°;  average  of 
five  measurements  of  vein  at  out-crop  and  in  the  opening,  is 
eighteen  inches  in  width ;  vein-stone  quartz,  containing  in  addi- 
tion to  the  usual  ores,  (above  described,)  some  copper  pyrites. 
To  the  north  of  this  vein  and  within  a  distance  of  eighty  feet, 
are  two  well  marked  and  bold  veins  dipping  rapidly  towards  the 
"Denckla."  These  veins  will,  in  all  probability,  intersect  a 
fourth  vein  about  twenty-five  feet  south  of  the  "  Denckla," 
which  stands  at  a  high  angle.  The  ore  analyzed  in  my  labora- 
tory gave  1.03  per  cent,  silver,  equivalent  to  300  oz  10  dwt.  per 
2000  pounds,  or  in  value  to  $403.42.  This  vein  is  marked  in 
my  note  book,  "positively  good." 

"GREY  EAGLE." 

500  feet  distant  from  the  above  and  with  the  same  course. 
Dip  N.  60°  ;  vein  exppsed  by  a  shaft  thirty-seven  feet  deep ; 
average  width  of  ledge  eleven  inches,  and  well  charged  with  ore. 

For  about  twelve  feet  from  the  surface,  the  wall  rock  is  black, 
metamorphosed  clay-slate,  with  seams  of  quartz  and  ore  running 
into  the  main  vein.  This  slate  rests  upon  an  intrusion  of  granite, 
somewhat  porphyritic  in  structure,  which  has,  in  the  shaft,  a 
thickness  of  twenty  feet.  In  this,  the  vein  is  pinched  into  a 
mere  seam,  but  in  the  clay  slate  which  again  underlays  the 
granite,  it  rapidly  widens  out  and  encloses  a  close  grained  quartz, 
intimately  mixed  with  ore  The  result  of  an  assay  of  the  vein 
matter  from  the  Grey  Eagle  was  1.38  per  cent,  silver,  or  402 


11 


oz.  19  dwt.  per  2000  pounds  ore,  equal  in  value  to  $540.90. 
The  vein  is  classed  as  positively  good. 

The  space  between  the  "Denckla"  and  "Grey  Eagle"  is  500 
feet,  of  which  400  belongs  to  the  two  veins.  It  would  be  policy 
for  the  Company  to  locate  the  intermediate  100  feet,  which  can 
easily  be  done,  so  that  a  mining  tract  of  900  by  800  feet  can  be 
obtained,  (200  feet  on  one  side  of  the  "Grey  Eagle"  and  500 
feet  between  the  "Grey  Eagle"  and  "Denckla"  +  200  feet  on 
the  other  side  of  the  Denckla,)  and  with  a  length  of  800  feet  on 
each  side  of  five  well  marked  fissure  veins. 

"HOPE." 

This  vein  is  not  included  in  the  list,  but  has  been  added  to  the 
property  in  compensation  for  some  of  those  not  so  favorably 
regarded.  Course  N.  45°  W.,  S.  45°  E. ;  dip  vertical ;  width 
from  17  inches  to  4J  feet ;  wall  of  black  argillaceous  slate,  with 
plainly  marked  selvages  and  polished  surfaces  (slickensides). 
The  following  rough  sketch  will  represent  the  structure  of  this 
vein : 

A  A    A,  Selvage  or  flucan  of  white  clay. 

B,  Bluish  white  quartz,  fine  grained, 
compact  and  without  mineral. 

C,  Ore-bearing  comb,  white  quartz, 
vuggy   and  crystalline,   with   per 
centage  of  ore,  11  in.  wide. 

D,  Brecciated  white  comb  quartz  and 
wall  rock,  with  copper  pyrites  and 
decomposed  ore  in  small  quanti- 
ties. 

W,  Wall  of  black  argillite.  An  ex- 
cellent vein;  classified  as  "Posi- 
tively G-ood"  Yield  of  the  ore, 
256  oz.  16  dwt.  per  ton.  Value 

Transverse  section  of  Hope  Ledge,  tonAAav 

showing  the  comby  structure  of  vein.        01  the  Same,  $o44.O  I . 


12 


Disregarding  the  other  veins,  and  considering  only  those  the 
value  of  which  have  been  positively  pronounced  upon,  we  may 
recapitulate  as  follows : 


Value  of  Grey  Eagle  ore  per  ton, 
"      "    Grey  and  Geisse     " 
"      "   Denckla  ore  " 

"      "    Hope  ore  " 


$540  90 
376  00 
403  42 
344  67 


These  results  of  carefully  conducted  analysis  of  the  run  of 
the  veins  as  yet  opened  and  exposed,  will  give  as  the  average  of 
the  productive  veins  a  value  of  $416.25  per  2,000  Ibs.  of  ore. 
Now,  what  will  be  the  expenses  attendant  on  the  mining  and 
reduction  of  the  same  amount  of  mineral  ? 

In  the  consideration  of  this  important  question,  we  will  confine 
ourselves  to  data  collected  in  the  Reese  River  District,  (80  miles 
further  eastward,)  where  the  conditions  of  occurrence  of  the  ore 
are  most  nearly  approached  to  the  Mountain  Wells  District,  and 
where  the  circumstances  modifying  results  in  the  mill  are  very 
closely  analogous.  It  must,  however,  be  remembered  that  the 
distance  from  Virginia  to  La  Plata  being  only  about  half  as  great 
as  from  Virginia  to  Austin,  the  costs  of  transportation  will  in 
reality  be  much  less.  But  it  will  not  be  unwise  in  such  econo- 
mical questions  to  consider  the  maximum  of  expense. 

On  the  basis  that  the  ores  assayed  represent  what  will  be 
found  to  obtain  in  the  veins,  (and  such  is  confidently  believed  to 
be  the  case,)  the  following  will  exhibit  the  value  per  running 
fathom  of  the  four  valuable  veins,  calculated  on  the  observed 
average  width  of  the  same : 


Tons  of  pro- 

NAME OF  VEIN. 

AT.  width. 

ductive  rock 
per  fathom 

Value  of 
rock  per  ton. 

Value  of  Vein 
per  fathom. 

of  vein 

Grey  and  Geisse, 

20  in. 

5.5 

$376.00 

$2,072  95 

Denckla,    - 

18  in. 

5 

403.42 

2,017.10 

Grey  Eagle, 

11  in. 

8 

54090 

1,622.70 

Hope,        .... 

30  in. 

8 

34467 

2,757.36 

13 

But  in  mining  these  deposits  dead  ground  will  necessarily  be 
removed;  so  that  the  expenses  of  mining  must  be  calculated  to  a 
cubic  fathom,  containing  about  20  tons.  These  will  amount  in 
the  aggregate  to  $400,  inclusive  of  timbering  and  transportation 
to  the  mill,  to  which  must  be  added  the  cost  of  the  metallurgical 
treatment  of  the  ores.  But  in  a  cubic  fathom  of  ground  mined 
a  certain  per  centage  alone,  contains  ore,  and  this  only  is  treated 
in  the  reduction  work.  I  have  found  the  cost  for  the  roasting 
process  below  described  to  be  $27  per  ton,  so  that  below  we  have 
the  expense  of  treating  the  ore  contained  in  one  cubic  fathom 
of  ground,  mined  from  the  several  veins : 


NAME  OF  VEIN. 

Per-centage  of  ore- 
bearing  ground. 

Cost  of  reduction  of  ore 
from  one  cubic  fathom 
of  ground  mined. 

Grey  and  Geisse,    - 
Denckla, 
Grey  Eagle,  - 
Hope,    

28.5  per  cent 
25      per  cent. 
19     per  cent. 
42      per  cent. 

$148.50 
135.00 
8100 
216.00 

The  average  of  which  is  $145.12,  which  will  represent  the  cost 
of  treatment  of  a  cubic  fathom  of  ground  mined,  and  the  ac- 
count will  stand  thus : 

Mining  one  cubic  fathom  of  ground,       -  -       $400  00 

Reduction  of  ore  in  one  cubic  fathom  of  ground,  -  145  00 
To  which  add  loss  in  process  of  extraction,  say  20  per 

cent,  the  contained  silver,  -  423  50 


Total  expense  per  fathom, 

Whilst  the  average  value  of  the  same  is 


-  $968  53 

-  $2,117  53 


The  details  of  the  process  of  silver  extraction,  of  which  the 
above  is  the  cost,  consist  in  dry  crushing  the  ore  sufficiently  fine 
to  allow  it  to  pass  through  a  No.  60  sieve ;  subsequently  roasting 
it  with  salt  in  a  reverberatory  furnace  and  amalgamating  the 
resulting  chloridized  ore  in  iron  pans — either  Hepburn's  or 


14 

Wheeler's.  A  stamp  weighing  650  Ibs.,  capable  of  wet  crushing, 
when  run  with  a  velocity  of  60  blows  per  minute,  one  ton  of  ore 
per  twenty-four  hours,  will  dry  pulverize  to  a  sufficient  degree  of 
fineness  in  the  same  time,  about  seven-tenths  of  a  ton.  This 
will  require,  on  the  average,  some  7  per  cent,  salt,  (worth  in 
Reese  River  $20  per  ton,)  and  will  constitute  two  charges  for  a 
furnace  requiring  each  about  seven  hours  for  a  thorough  chlori- 
dizing  roasting.  A  ten  stamp  will  require  six  furnaces  and  six 
pans  and  is  capable  of  working  7  tons  of  ore.  The  cost  of  put- 
ting a  mill  of  this  capacity  in  operation  will  be  about  $55,000. 
Labor  is  worth  from  three  to  four  dollars  per  day ,  wood,  six 
dollars  per  cord.  These  figures  of  value  and  expense  are  all  to 
be  understood  as  being  on  gold  basis. 

The  wood  ranche  belonging  to  the  Company  is  within  two  and 
half  miles  of  the  La  Plata,  and  comprises  four  hundred  and  sixty- 
five  acres  of  land,  clothed  with  a  species  of  scrub-cedar  and  juni- 
per. The  amount  of  cord-wood  I  have  estimated  at  about  fifteen 
cords  to  the  acre.  Wood  can  now  be  contracted  for  in  the 
Mountain  Wells  District  for  five  dollars  per  cord.  This  will  be 
about  the  ruling  price  for  some  years  to  come,  so  that  an  ade- 
quate supply  for  milling  and  mining  purposes  can  be  obtained 
at  not  greater  cost.  Ultimately,  and  more  especially  if  exploit- 
ation is  vigorously  conducted  in  the  region — the  price  will  be 
much  greater,  unless  some  cheaper  mode  of  transportation  be 
completed.  After  nearly  five  years  of  vigorous  work  in  the 
Virginia  District,  the  price  per  cord  of  wood  has  reached  eighteen 
dollars. 

Water  in  sufficient  quantities  for  all  boiler  and  milling  pur- 
poses can  be  obtained  near  any  desirable  mill  site,  either  from 
abundant  and  persistent  springs,  or  from  wells  sunk  to  a  depth 
in  no  instance  greater  than  twenty  (20)  feet. 

The  canons  or  gulches  separating  the  mountain  ridges  or  hills 
of  the  District,  are  generally  broad  with  easily  ascending  grades, 
with  excellent  natural  road-beds,  requiring  nothing  more  than 
the  removal  of  the  sage-brush  and  the  larger  boulders. 


15 

An  excellent  mill-site  can  be  procured  at  once  without  addi- 
tional expense  to  the  Company,  near  the  southern  end  of  La 
Plata,  the  access  to  which  from  all  the  production  veins  will  be 
over  a  descending  grade.  The  distance  in  no  case  will  be  over 
two  miles. 

In  this  report  I  have  stated  the  phenomena  and  surroundings, 
upon  which  I  have  based  my  high  opinion  of  the  property.  In 
my  judgment  they  are  sufficiently  marked  to  warrant  the  con- 
clusion that  the  Grey  Eagle  property  is  one  that  can  be  advan- 
tageously and  profitably  mined,  and  as  such,  I  have  no  hesitation 
in  recommending  it  to  your  attention.  The  premises  have  been 
stated  at  some  length,  that  you  may  see  that  the  conclusions  are 
not  forced,  and,  if  the  report  is  somewhat  prolix,  it  is  not  un- 
necessarily so,  but  has  been  so  written  that  the  features  of  the 
mineral  deposits  of  the  Mountain  Wells  District,  and  the  ques- 
tion of  its  economical  exploitation  may  be  clearly,  fairly  and 
disinterestedly  brought  before  your  minds,  that  your  future 
operations  may  be  guided  by  them.  With  the  hope  that  you 
will  so  view  it,  and  in  the  confident  belief,  that  should  you 
venture  on  the  development  of  the  Grey  Eagle  Company,  your 
results  will  be  eminently  satisfactory  to  yourselves  and  associates. 
I  remain, 

Your  very  obedient  servant, 

CHARLES  P.  WILLIAMS, 

Chemist  and  Mining  Geologist. 

To  COMMITTEE  GREY  EAGLE  COMPANY. 


Mint  of  the  United  States,         ) 

Philadelphia,  June  26M,  1865.      ) 


JAMES  ROSS  SNOWDEN,  Esq. 

DEAR  SIK: 


I  would  have  replied  sooner  to  your  request,  but  was  desirous  to  make 
a  satisfactory  examination,  and  have  also  been  delayed  by  necessary  business. 
I  divided  the  specimens  into  two  classes ;  of  which,  those  I  return,  marked 
No.  1  and  2,  are  the  representatives. 

No.  1,  shows  a  blackish  mineral,  very  complex  and  heterogeneous  in  its  con- 
stituents ;  the  silver  for  instance  being  more  abundant  in  one  section  than  in 
another  close  by,  and  of  like  color.  But  taking  one  with  another  (of  this  dark 
sort,)  I  found  the  contents  of  silver  to  be  at  the  rate  of  fourteen  hundred  and 
eighty-five  dollars,  ($1485,)  per  ton  of  2,000  Ibs. 

The  other  variety,  whitish  quartz  chiefly,  I  found  to  contain  silver,  one  hun- 
dred and  four  dollars,  ($104,)  per  ton. 

Yours,  truly, 

J.  R.  ECKPELDT. 


17 

The  Hon.  George  W.  Stein,  of  Easton,  Pennsylvania,  President  of 
the  "  Silver  Wave  Company,"  was  sent  out  by  that  organization  to 
examine  their  claims  in  the  Mountain  Wells  District.  The  following 
is  extracted  from  his  letters  to  the  Company. 

"  La  Plata  is  the  county  seat  of  Churchill  county  The  climate  is 
delightful,  atmosphere  pure,  bracing  and  wholesome,  and,  as  our  pros- 
pectus foreshadows,  "so  healthful  that  epidemics  are  unknown."  The 
situation  is  far  preferable  to  Virginia.  It  is  located  in  the  shelter  of 
a  canon,  or  rather,  two,  and  with  little  expense  can  be  made  an  eligi- 
ble place  for  a  large  city.  The  town  at  present  contains  but  a  sparse 
population,  although  we  have  a  court-house,  two  hotels,  viz.,  Warren 
House  and  the  La  Plata  Hotel  and  Pioneer  Saloon,  affording  accom- 
modations to  all  who  may  visit  the  place,  provided  the  number  is  not 
too  great,  as  I  trust  it  may  be  in  a  short  time  to  come.  The  buildings 
are  not  very  capacious,  and  do  not  present  a  remarkable  appearance  in 
an  architectural  point  of  view;  nevertheless  the  initiative  has  been 
taken,  and  ere  long  this  city  may  perhaps  be  able  to  boast  of  as  fine 
buildings  as  are  at  present  to  be  seen  at  Virginia  or  elsewhere.  The 
water,  although  not  very  abundant  as  yet,  owing  mainly  to  the  fact 
that  no  particular  effort  has  been  made  to  procure  it,  yet  within  the 
limits  of  our  place  we  have  three  springs,  which  will  not  only  furnish 
water  enough  for  a  ten-stamp  mill,  with  an  abundant  supply  left  to 
accommodate  not  only  the  citizens  of  this  place,  but  also  the  neighbor- 
hood for  many  miles  distant.  In  fact,  teams  come  here  almost  daily 
from  a  distance,  to  procure  water  for  remote  places,  and  the  Overland 
Stage  Company  is  compelled  to  haul  water  from  here  to  Fairview  Sta- 
tion, a  distance  of  7&  miles,  for  their  use.  It  must  be  taken  into  con- 
sideration that  the  district  is  not  thickly  populated,  but  I  entertain 
the  opinion  that  water  enough  can  be  found  here  to  supply  many  mills 
and  a  large  population.  A  few  young  men  are  engaged  in  running  a 
tunnel  in  the  heart  of  this  place,  and  informed  me  that  they  had  found 
a  large  spring,  which  interfered  materially  with  their  operations.  Na- 
ture provides  for  all  these  deficiencies.  In  this  connection,  I  will  add 
that  salt,  which  is  so  necessary  in  beneficiating  silver  ores,  is  found  in 
large  bodies.  A  gentleman  from  Silver  Hill,  who  was  bred  in  my 
neighborhood  in  Pennsylvania,  owns  a  large  bed  25  miles  from  this 
place,  agreed  to  execute  a  lease  by  which  he  will  bind  himself  to  fur- 
2  ' 


18 

nish  the  Silver  Wave  Company  with  salt,  in  all  time  to  come,  gratis, 
provided  they  erect  the  first  mill  here.  Wood  for  steam  and  other 
purposes  can  be  procured  from  our  land  in  sufficient  quantities  to  sup- 
ply one  hundred  stamps  for  many  years  to  come,  although  I  do  not 
wish  to  convey  the  idea  that  it  can  be  used  as  timber  in  erecting  the 
mill ;  it  is  principally  mountain  cedar,  and  well  adapted  for  generating 
steam.  It  is  adjacent  to  the  mill,  and  easily  cut;  the  roads  being  in 
good  condition,  and  down  grade,  the  expense  and  labor  for  hauling  will 
not  be  excessive.  Building  materials  are  found  here  in  great  abun- 
dance, such  as  stones,  clay  out  of  which  good  brick  can  be  manufac- 
tured ;  lime  can  be  procured,  but  clay  is  found  here,  which,  by  mixing 
with  water,  produces  good  mortar.  Lime  can  be  had  within  a  limited 
distance,  and  although  the  experiment  has  not  been  made,  I  am  in- 
clined to  think  it  can  be  manufactured  here.  The  marble  quarry  is 
situated  a  short  distance  from  the  Silver  Wave  ledge,  and  presents  a 
very  good  appearance.  It  is  easily  quarried,  and  can  be  made  availa- 
ble in  the  construction  of  the  mill.  Laborers  can  be  procured  without 
much  trouble.  The  price  of  ordinary  laborers  will  be  $4 ;  but,  in  the 
opinion  of  most  operators  here,  the  tendency  is  downwards,  and  before 
the  season  fairly  commences,  they  may  be  reduced  to  $3." 


ARTICLE  I. 

The  office  of  the  Company  shall  be  located  in  the  City  of 
Philadelphia,  where  all  meetings  of  Directors  and  Stockholders 
for  the  transaction  of  the  business  of  the  Company  shall  be  held. 

ARTICLE  II. 

MEETINGS   OF   STOCKHOLDERS. 

SECTION  1.  A  meeting  of  the  Stockholders  shall  be  held  an- 
nually on  the  last  Tuesday  in  April,  for  the  election  of  Directors 
and  the  transaction  of  other  business  relating  to  the  affairs  of 
the  Company.  At  least  fifteen  days  notice  shall  be  given  of  the 
said  meeting  and  of  all  special  meetings,  by  advertisement  in 
one  or  more  daily  newspapers  published  in  the  City  of  Phila- 
delphia. Special  meetings  may  be  called  by  the  Board  of  Di- 
rectors at  their  discretion ;  and  it  shall  be  the  duty  of  the  Pre- 
sident of  the  Board  to  call  special  meetings  on  the  written  request 
of  the  owners  of  one-fourth  of  the  capital  stock  of  the  Company, 
— the  said  request  to  specify  the  object  and  purpose  of  said 
meeting.  Any  special  meeting  as  aforesaid  may  be  adjourned 
to  a  future  day,  but  no  new  matter  not  specified  in  the  request 
shall  be  introduced  or  considered  at  any  special  or  adjourned 
meeting,  except  by  the  unanimous  consent  of  all  the  Stockholders 
present  or  represented  :  Provided,  That  if  from  any  cause  no 
election  of  officers  be  held  at  the  annual  meeting  of  the  Stock- 


20 

holders,  the  said  election  may  be  held  at  a  subsequent  meeting, 
on  complying  with  the  requirements  herein  directed. 

SEC.  2.  At  all  elections  and  business  meetings  of  the  Stock- 
holders, each  share  of  stock  on  which  all  instalments  called  in 
by  the  Directors,  and  due,  shall  have  been  paid,  and  not  other- 
wise, shall  be  entitled  to  one  vote,  and  may  be  voted  by  the 
holder  in  person  or  by  proxy ;  but  all  proxies  shall  be  filed  with 
the  Secretary  at  or  previous  to  the  time  of  meeting,  and  those 
dated  more  than  four  months  previous  to  the  meeting,  shall  be 
rejected.  At  all  meetings,  and  on  any  question,  whenever*  the 
same  shall  be  demanded  by  any  Stockholder,  the  vote  shall  be 
by  shares ;  and  in  such  cases  all  decisions  shall  be  by  a  majority 
of  shares  present  or  represented.  Five  members  actually  present, 
representing  not  less  than  one-fourth  part  of  the  capital  stock, 
shall  constitute  a  quorum  for  the  transaction  of  business. 

ARTICLE  III. 

OFFICERS    OF   THE   COMPANY. 

The  officers  of  the  Company  shall  consist  of  a  President,  a 
Secretary,  a  Treasurer,  and  a  Board  of  Five  Directors,  of  whom 
the  President  shall  be  one ;  and  shall  hold  their  offices  until  their 
successors  shall  have  been  elected  in  accordance  with  these  By- 
Laws.  And  the  Board  of  Directors  may  fix  such  compensation 
or  salaries  as  they  may  determine. 

In  the  absence  of  any  officer,  the  Board  may  appoint  one  to 
act  pro  tern,  during  such  absence. 

ARTICLE  IV. 

DUTIES   OF   DIRECTORS. 

The  Directors  shall  be  elected  by  ballot,  for  one  year,  and 
until  their  successors  shall  have  been  elected ,  and  they  shall 
have  power  to  fill  vacancies  that  may  occur  in  their  Board. 
They  shall  have  the  management  and  control  of  the  affairs  of  the 


21 

Company,  and  shall  carry  into  effect  all  such  resolutions  as  may 
from  time  to  time  be  lawfully  adopted  by  the  Stockholders. 
They  shall  adopt  and  provide  a  common  or  corporate  seal,  and 
shall  have  power  to  carry  on  all  such  operations  and  do  all  such 
things  on  behalf  of  the  Company  as  are  authorized  by  the  Act 
of  Incorporation. 

They  shall  have  power  to  appoint  and  employ  such  and  as 
many  Agents  as  in  their  judgment  the  interest  or  business  of 
the  Company  may  from  time  to  time  require,  to  fix  their  com- 
pensation and  define  their  duties. 

At  every  annual  meeting  of  the  Stockholders  they  shall  pre- 
sent a  written  report,  showing  in  detail  the  situation  of  the  pro- 
perty and  financial  affairs  of  the  Company,  and  they  shall  also 
render  a  similar  report  at  any  special  meeting  of  the  Stock- 
holders, when  requested.  They  shall  hold  stated  meetings  once 
a  month,  and  special  meetings  whenever  the  business  of  the 
Company  shall  require.  Special  meetings  shall  be  called  by  the 
Secretary  whenever  instructed  so  to  do  by  the  President  or  two 
or  more  Directors.  A  majority  of  the  Board  shall  constitute  a 
quorum  for  the  transaction  of  business. 


ARTICLE  V. 

ELECTION    OF    SECRETARY   AND   TREASURER. 

The  Secretary  and  Treasurer  shall  be  elected  by  the  Board 
of  Directors,  by  ballot,  and  may  be  one  and  the  same  person  or 
otherwise,  as  the  Board  may  determine,  and  shall  hold  his  or 
their  office  during  the  pleasure  of  the  Board  of  Directors. 

The  Treasurer's  election  shall  not  be  considered  valid  or  com- 
plete until  he  has  executed  to  the  Company  a  bond  or  bonds  in 
such  sums  and  with  such  surety  as  the  Board  may  deem  ade- 
quate, conditioned  for  the  faithful  performance  of  the  duties  of 
his  trust. 


22 
ARTICLE  VI. 

DUTIES    OF   PRESIDENT. 

The  President  shall  be  elected  by  the  Board  of  Directors,  and 
shall  preside  at  all  meetings,  both  of  the  Stockholders  and  Di- 
rectors, sign  all  certificates  of  stock,  and  in  general,  perform 
the  duties  of  such  corporate  office. 

ARTICLE  VII. 

DUTIES    OF   SECRETARY. 

It  shall  be  the  duty  of  the  Secretary  to  prepare  and  keep 
proper  books,  and  particularly  a  stock  ledger,  transfer  book,  and 
a  record  book  of  the  proceedings,  as  well  of  the  meetings  of 
Stockholders  as  of  the  Directors ;  to  preserve  all  papers  placed 
in  his  charge ;  to  give  notice  of  all  meetings  of  the  Corporation, 
and  perform  such  other  duties  as  the  Directors  may  prescribe. 

ARTICLE  VIII. 

DUTIES    OF   TREASURER. 

The  Treasurer  shall  collect  and  disburse  all  moneys,  under 
such  instructions  as  the  Directors  may  impose,  and  shall  keep 
proper  books  of  accounts.  He  shall  also  render  a  full  and  par- 
ticular statement  of  his  cash  account,  accompanied  with  vouchers 
whenever  the  Board  may  require  it,  and  at  every  annual  meeting 
of  the  Company,  showing  the  condition  of  its  financial  affairs ; 
and  a  similar  account  at  any  special  meeting  of  the  Stockholders, 
when  required  by  a  vote  thereof  so  to  do,  and  shall  sign  all  cer- 
tificates of  stock  in  conjunction  with  the  President. 

ARTICLE  IX. 

CERTIFICATES    OF   STOCK. 

The  Certificates  of  Stock  shall  be  issued  under  the  seal  of  the 
Company,  and  shall  be  numbered  and  registered  as  they  are 
issued ;  they  shall  exhibit  the  holder's  name,  and  the  number  of 
shares,  arid  the  mode  of  transfer,  and  shall  be  signed  by  the 


23 

President  and  countersigned  by  the  Treasurer.  Transfers  of 
stock  shall  only  be  made  on  the  books  of  the  Company,  in  the 
presence  of  the  Secretary  or  other  authorized  officer  or  agent  of 
the  Company,  either  by  the  holder  in  person  or  by  attorney  ;  and 
the  possession  of  a  certificate  of  stock  shall  not  be  regarded  as 
vesting  any  ownership  in  the  same,  in  any  other  than  the  person 
in  whose  name  it  is  issued,  (as  between  the  Company  and  such 
holder,)  until  the  transfer  is  duly  made  upon  the  books  of  the 
Company  as  aforesaid. 

ARTICLE  X. 

INSTALMENTS. 

The  Directors  may  call  in  subscriptions  to  the  capital  stock  of 
said  Corporation  by  instalments,  in  such  portions  and  at  such 
times  and  places  as  they  shall  think  proper,  by  giving  notice 
thereof  for  ten  days,  in  one  or  more  newspapers  published  in 
the  city  of  Philadelphia,  or  by  personal  notice  through  the  post 
office  ;  and  in  case  any  Stockholder  shall  neglect  or  refuse  pay- 
ment of  any  such  instalment  for  the  space  of  thirty  days  after 
the  same  shall  have  become  due  and  payable,  and  after  he  shall 
have  been  notified  thereof,  the  stock  of  such  delinquent  Stock- 
holder may  be  sold  by  the  Directors,  at  public  auction,  at  the 
office  of  the  Corporation,  on  giving  at  least  thirty  days  notice 
thereof  in  some  newspaper  published  in  the  said  city ;  and  the 
proceeds  of  sale  shall  be  first  applied  in  payment  of  the  instal- 
ment called  for  and  the  expenses  on  the  same,  and  the  balance, 
if  any,  shall  be  paid  over  to  the  said  delinquent ;  and  such  sale 
shall  entitle  the  purchaser  to  all  the  rights  of  a  Stockholder  to 
the  extent  of  the  shares  so  bought. 

ARTICLE  XL 

DIVIDENDS. 

The  Directors  may  declare  dividends  payable  out  of  the  profits 
of  the  Company,  whenever  they  shall  deem  it  expedient,  giving 
due  notice  to  the  Stockholders. 


24 


ARTICLE  XII. 

AMENDMENTS. 

The  foregoing  By-Laws,  or  any  part  of  them,  may  be  repealed, 
altered  or  amended,  at  any  annual  or  special  meeting  of  the 
Stockholders,  by  a  vote  of  the  majority  of  the  stock  represented 
at  such  meeting,  provided  a  majority  of  the  whole  stock  is  rep- 
resented, and  that  thirty  days  notice  of  the  proposed  change 
has  been  transmitted  to  each  Stockholder  by  mail. 


AJST    ACT 

TO   INCORPORATE   THE   NEVADA   SILVER   MINING   COMPANY. 

SECTION  1.  Be  it  enacted  by  the  Senate  and  House  of  Repre- 
sentatives of  the  Commonwealth  of  Pennsylvania  in  G-eneral 
Assembly  met,  and  it  is  hereby  enacted  by  the  authority  of  the 
same,  That  William  L.  Nutt,  Charles  Coffman,  Lewis  Snell, 
Edward  J.  McTague  and  George  Baldt,  and  their  associates,  be 
and  they  are  hereby  created  a  body  politic,  by  the  name,  style 
and  title  of  the  Nevada  Silver  Mining  Company,  and  by  such 
name  and  title  shall  have  perpetual  succession,  and  shall  be 
capable  of  suing  and  being  sued,  impleading  and  being  impleaded, 
and  of  granting  and  of  receiving  in  its  corporate  name,  property 
real,  personal  and  mixed,  and  of  holding  and  improving  lands 
in  the  State  of  Nevada,  and  to  obtain  therefrom  any  and  all 
minerals  and  other  valuable  substances,  whether  by  working, 
or  mining,  or  leasing,  or  disposing  of  privileges  to  work  or  mine 
such  lands,  or  any  part  thereof,  and  to  erect  houses  and  such 
other  buildings  and  works,  as  may  in  the  opinion  of  the  mana- 
gers of  the  corporation,  appertain  to  said  business,  and  to  use, 
let,  lease,  or  work  the  same,  and  to  dispose  of  the  products  of  all 
such  lands,  mines,  and  works,  as  they  may  deem  proper. 

SEC.  2.  That  the  said  company  shall  have  power  to  make 
such  by-laws  as  they  may  deem  proper  to  enable  them  to  carry 
out  the  objects  of  the  corporation,  and  the  same  to  alter,  amend, 
add  to,  or  repeal,  at  their  pleasure :  Provided,  That  such  by- 
laws shall  not  be  contrary  to  the  Constitution  of  this  Common- 
wealth or  the  provisions  of  this  Act  :  and  to  adopt  a  common 
3 


26 

seal,  and  the  same  to  alter  at  pleasure,  and  to  issue  certificates 
of  stock,  representing  the  value  of  their  property,  in  such  form, 
and  subject  to  such  regulations,  as  they  may  from  time  to  time, 
by  their  by-laws  prescribe,  and  to  regulate  and  prescribe  in 
what  manner  and  form  their  contracts  and  obligations  shall  be 
executed. 

SEC.  3.  That  the  corporators  of  this  Act  shall  elect  persons 
to  serve  as  directors  of  this  company,  a  majority  of  whom  shall 
constitute  a  quorum  for  the  transaction  of  business,  and  shall 
hold  their  offices  until  their  successors  shall  have  been  elected 
in  accordance  with  the  by-laws. 

SEC.  4.  That  it  shall  be  lawful  for  said  company  to  establish 
the  necessary  offices  for  the  business  of  the  company,  wherever 
their  business  is  located,  and  to  have  their  principal  office  in  the 
city  of  Philadelphia,  at  which  it  shall  be  lawful  to  hold  all  meet- 
ings for  the  transaction  of  the  business  of  the  Company. 

A.  G.  OLMSTED, 

Speaker  of  the  House  of  Representatives. 

WM.  J.  TURRELL, 

Speaker  of  the  Senate. 

Approved  the  sixteenth  day  of  March,  Anno  Domini  one 
thousand  eight  hundred  and  sixty-five. 

A.  G.  CURTIN. 


27 


Office  of  the  Secretary  of  the  Commonwealth, 

Harrisburg,  June  20th,  A.  D.  1865. 

PENNSYLVANIA,  ss. 

I  do  hereby  certify.  That  the  foregoing  and  annexed 
is  a  full,  true  and  correct  copy  of  the  original  Act 
of  the  General  Assembly,  entitled  "An  Act  to 
incorporate  the  Nevada  Silver  Mining  Company," 
as  the  same  remains  on  file  in  this  office. 

In  testimony  whereof,  I  have  hereunto  set  my  hand  and  caused 
the  seal  of  the  Secretary's  Office  to  be  affixed,  the  day  and  year 
above  written. 

W.  H.  ARMSTRONG, 

Deputy  Secretary  of  the  Commonwealth. 


